Amoeba Manufacturing Company Provided the Following Information for the Year

question 89

Multiple Choice

Amoeba Manufacturing Company provided the following information for the year 2015: $$\begin{array} { | l | r | } \hline \text { Purchases-Raw Materials } & \$ 90,000 \\\hline \text { Plant Utilities \& Insurance } & 67,500 \\\hline \text { Indirect Materials } & 11,750 \\\hline \text { Indirect Labor } & 4,750 \\\hline \text { Direct Materials Used in Production } & 96,000 \\\hline \text { Direct Labor } & 117,500 \\\hline \text { Depreciation on Factory Plant \& Equipment } & 6,000 \\\hline \text { Cost of Goods Manufactured } & 290,850 \\\hline \text { Cost of Goods Sold } & 304,550 \\\hline\end{array}$$ The inventory account balances as of January 1^st 2015 are given below.
$$\begin{array} { | l | r | } \hline \text { Raw Materials Inventory } & \$ 42,000 \\\hline \text { Work-in-Process Inventory } & 12,000 \\\hline \text { Finished Goods Inventory } & 49,500 \\\hline\end{array}$$ What is the ending balance in the finished goods inventory?

• A) $49,500
• B) $63,200
• C) $35,800
• D) $24,650

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Definitions:

Liability For Crimes

involves legal responsibility for actions or omissions that violate criminal law.

Fiduciary Duty

An obligation to act in the best interest of another party, typically in a financial or trust-based relationship.

Implied Authority

Authority of an agent that is not explicitly stated but is inferred from the agent's actions or the circumstances.

Audit Fee

The charge by an audit firm for the service of conducting an official financial examination of an organization's accounts.